institutional Manufacturing has begun their efforts to expand into the international market. Their leadership team is meeting to discuss their pricing strategy. One of the executives recommends setting a market-based price in each of the countries where they plan to sell. Which of the following best demonstrates a risk they may encounter by leveraging this type of strategy?

profits can not be maximized using this type of pricing strategy

products may be priced out of the market in countries where costs are high

intermediaries in low-price countries may sell to high-price countries for profit

prices may be too low in rich countries and too high in poor countries